Telecoms operator MTN eyes banking licences as it pushes deeper into lending
Africa's largest telecoms operator MTN Group is exploring banking licences in select markets as the company looks to expand lending from its own balance sheet, CEO Ralph Mupita said on Tuesday.
MTN Group, Africa's largest telecoms operator, is considering obtaining banking licences in certain markets in a bid to increase lending from its own balance sheet, according to its CEO Ralph Mupita. The company is expanding into fintech services, with lending emerging as one of the fastest-growing segments within its mobile money business.
Mupita highlighted the company's focus on advanced services, such as payments, e-commerce, and lending, as a key driver of future growth. Currently, MTN provides loans through partnerships with banks, but the CEO indicated that the company is exploring the possibility of establishing a banking licence, contingent upon the availability of substantial customer bases and significant wallet holdings.
MTN would initially pursue a selective approach to balance-sheet lending, recognizing the risks involved and proceeding gradually. Additionally, MTN is investing in digital infrastructure through the development of AI-enabled data centres in South Africa and Nigeria, in partnership with a UAE-backed entity.
Written by urgent.news from MyJoyOnline Ghana's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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